Mortgage rates increased this week after last week’s drop, following the increase of the 10-year Treasury’s to its highest point since June.
“A jump last week in the PCE, the price index tracked most closely by the Fed, raised the prospect that inflation might not be completely dead after all,” Freddie Mac Chief Economist Sean Becketti said. “Investors reacted by driving the yield on the 10-year Treasury to its highest point since June.”
The 30-year fixed-rate mortgage increased to 3.54% for the week ending Nov. 3, 2016. This is up from last week’s 3.47% but down from last year’s 3.87%.
The 15-year FRM also increased to 2.84%, up from last week’s 2.78% but down from last year’s 3.09%.
The five-year Treasury-indexed hybrid adjustable-rate mortgage increased to 2.87%, up from 2.84% last week. This is still down from last year’s 2.96%.
“The 30-year mortgage rate jumped seven basis points to 3.54%, the largest one-week increase in over six months,” Becketti said.